RBI Governor Shaktikanta Das Optimistic About Unified Lending Interface Revolutionising Lending Practices

ENA Economy 2024-12-11 15:47:34 New Delhi, Dec 11 (KNN) In his final press conference as the Reserve Bank of India (RBI) Governor on Tuesday, Shaktikanta Das addressed key challenges facing the Indian economy and the central bank, highlighting the need for restoring the balance between growth and inflation, tackling cybersecurity risks, and adapting to the rapidly shifting geopolitical landscape. Das, who has served as RBI Governor for six years, noted that the coordination between the finance ministry and the central bank has been at its best during his tenure. The Indian government had appointed Sanjay Malhotra, a 1990-batch Indian Administrative Service officer and the current Revenue Secretary in the Ministry of Finance, as the new RBI Governor on Monday. Addressing the challenges ahead, Das emphasised that restoring the inflation-growth balance remains a top priority for the RBI. He expressed confidence that the new leadership would continue to guide the central bank effectively in this task. Indias GDP growth slowed to a seven-quarter low of 5.4 per cent in the second quarter of FY25, while retail inflation surged to a 14-month high of 6.21 per cent in October 2024. In light of these developments, Das acknowledged the rapidly changing geopolitical and geo-economic dynamics, stressing the need for the RBI to remain alert and agile. Cybersecurity, Das pointed out, is another significant challenge facing central banks globally, including the RBI. Over the past six years, the RBI has prioritised cybersecurity, dealing with various threats and challenges. As new cyber risks continue to emerge, Das underscored the importance of ongoing vigilance in this area. The Governor also reflected on the RBIs efforts to leverage new technologies, highlighting initiatives such as the RBI Innovation Hub (RBIH) in Bengaluru and the regulatory sandbox, which fosters innovative ideas. Das praised the RBIs pioneering role in the development of central bank digital currency (CBDC), or e-rupee, calling it the future of currency with immense potential. He also expressed optimism about the forthcoming Unified Lending Interface (ULI), which he believes will revolutionise lending practices. On the subject of financial inclusion, Das acknowledged that while significant progress has been made, this remains an ongoing priority for the central bank. He emphasised the positive working relationship between the government and the RBI, particularly during challenging times such as the COVID-19 pandemic and the economic fallout from the war in Ukraine. Responding to questions about concerns regarding the central bank's independence, particularly when the RBI Governor has a background in the finance ministry, Das reassured that, despite occasional differences in perspectives between the finance ministry and the RBI, the broader interests of the economy have always guided decisions. He reaffirmed that the central banks focus has always been on the wider economy, not any specific government agenda. Dass tenure as RBI Governor has been marked by efforts to strengthen Indias financial infrastructure, introduce cutting-edge financial technologies, and navigate complex global economic challenges. His leadership has been pivotal in steering the central bank through turbulent times, and he leaves behind a legacy of focused economic management. (KNN Bureau) 40221 https://knnindia.co.in/news/newsdetails/economy/rbi-governor-shaktikanta-das-optimistic-about-unified-lending-interface-revolutionising-lending-practices 2024-12-11 15:47:34 knnindia.co.in RBI Governor Shaktikanta Das Optimistic About Unified Lending Interface Revolutionising Lending Practices